Inova Labs acquired by ResMed
SAN DIEGO, Calif. – ResMed (NYSE:RMD), a leading innovator in sleep-disordered breathing and respiratory care, today announced it has entered into a definitive agreement to acquire Inova Labs Inc., a privately-held medical device company specializing in the development and commercialization of innovative oxygen therapy products. Oxygen therapy is the largest non-drug delivery medical device segment for the treatment of COPD. With the acquisition of Austin, Texas-based Inova Labs, ResMed's respiratory care portfolio encompasses both innovative portable oxygen concentrators as well as the necessary stationary options for the home.
Key products from Inova Labs include:
- LifeChoice Activox – lightweight, portable oxygen concentrators that lead the industry in offering extended battery life for freedom and mobility.
- Activox DUO2 – the industry's first fully-integrated stationary and portable oxygen concentrator system.
The financial terms of the transaction were not disclosed. This transaction is subject to customary closing conditions, including regulatory approvals.
"COPD is the third leading cause of death in the United States and, sadly, the disease is on its way to achieving the same ranking globally," said Mick Farrell, CEO of ResMed. "We are excited to expand our offerings and solutions for the global COPD epidemic and to progress even more swiftly toward our ResMed goal of improving 20 million lives by 2020. With the acquisition of Inova Labs, ResMed is delivering on its commitment to find further ways to improve the quality of life for tens of millions of people as they deal with COPD, this chronic, progressive disease that literally takes patients' breath away when untreated."
Farrell also added, "If we are able to execute on all our plans we could easily have a half billion dollar business out of this in five to 10 years."
"We are pleased with the sale of Inova Labs to ResMed, which is a leading innovator in connected healthcare solutions for sleep and respiratory conditions," said Geoff Pardo, Partner with trans-Atlantic growth capital firm Gilde Healthcare. "Inova Labs has the lightest products with the longest battery life in this segment, enabling COPD patients to stay active, sleep well, and ultimately stay out of high cost clinical settings and in their home environment. The theme of better care at lower cost is a critical one in today's healthcare, and the sale validates the Gilde strategy of backing top management teams with best-in-class products, in high growth segments."
The global team at ResMed (NYSE:RMD) is united in the commitment to change millions of lives with every breath. With more than 4,000 employees and a presence in over 100 countries, the company has pioneered innovative devices for the diagnosis, treatment and management of sleep-disordered breathing, chronic obstructive pulmonary disease and other chronic conditions for more than 25 years. ResMed's world-leading products and connected healthcare solutions improve the quality of life for millions of patients worldwide, reduce the impact of chronic disease, and save healthcare costs. For more information about ResMed and its businesses, visit www.resmed.com.
About Gilde Healthcare
Gilde Healthcare (Utrecht, The Netherlands and Cambridge, USA) is a transatlantic venture and growth capital firm focused on private healthcare technology and service companies. It has over €575 million under management and is actively looking to lead new investments in digital health, medical devices, therapeutics and healthcare services. Gilde successfully builds healthcare businesses across Europe and US, investing up to €20 million in a single portfolio company. For a list of Gilde's portfolio companies please visit the website at www.gildehealthcare.com.